|Bid||124.50 x 800|
|Ask||124.70 x 900|
|Day's Range||123.80 - 128.00|
|52 Week Range||89.05 - 129.34|
|Beta (3Y Monthly)||1.00|
|PE Ratio (TTM)||15.44|
|Earnings Date||Oct 16, 2019 - Oct 21, 2019|
|Forward Dividend & Yield||1.56 (1.21%)|
|1y Target Est||130.08|
It’s been a busy week for dividend increases. American Express announced the dividend boost in its second-quarter earnings release on Friday. Molson Coors’ hike is its first since 2015.
Wall Street's main indexes fell on Friday following a report that the Federal Reserve plans to cut interest rates by only a quarter-percentage point at the end of the month. The benchmark S&P 500 erased earlier marginal gains after a Wall Street Journal report on the Fed's plans.
Stocks traded lower Friday amid more geopolitical tensions with Iran. Oil prices jumped after Iran's Revolutionary Guard Corps captured a British oil tanker in the Strait of Hormuz, a major thoroughfare for global oil shipments.Source: Shutterstock Geopolitical tensions, however fleeting, often prompt traders to move into safer assets, such as the dollar or U.S. government bonds, pressuring riskier assets, like stocks, along the way.To close the week, the Nasdaq Composite fell 0.74% while the S&P 500 lost 0.62%. The Dow Jones Industrial Average declined by 0.25% with fewer than a third of its 30 members trading higher on Friday.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIn more encouraging geopolitical news, President Donald Trump said U.S. Treasury Secretary Steve Mnuchin had a positive conversation with his Chinese counterpart. * 10 Tech Stocks That Are Still Worth Your Time (And Money) "U.S. and Chinese officials spoke by phone on Thursday as the world's two largest economies seek to end a yearlong trade war, with Mnuchin suggesting in-person talks could follow," according to Reuters. Marvelous MicrosoftWe mentioned here yesterday that Microsoft (NASDAQ:MSFT) had the potential to be a big mover today following its Thursday earnings report. While the stock rose just 0.15% today, the report was spectacular. Microsoft said it earned $1.37 a share on revenue of $33.72 billion. Analysts were expecting earnings per share of $1.21 on revenue of $32.77 billion.A slew of positive analyst chatter on Microsoft ensued due in large part to the company's encouraging commentary on Azure, its cloud computing business. If Azure can steal some market share from Amazon Web Services (AWS), Microsoft can add to its $1 trillion-plus market value. Boeing: When Bad News Is Good NewsBoeing (NYSE:BA), the largest component in the Dow, surged 4.48% after the company said it's going to take a $5 billion after-tax charge to compensate airline customers related to the grounding of the 737 MAX jet."For purposes of the second-quarter financial results, the company has assumed that regulatory approval of 737 MAX return to service in the U.S. and other jurisdictions begins early in the fourth quarter 2019," according to a Boeing statement.Doling out $5 billion for a situation that could have been avoided would appear to be bad news, but Boeing's Friday price action suggests investors like the effort by the company to start putting this situation in the rear view mirror. When Rewards Aren't RewardingAmerican Express (NYSE:AXP) slid 2.79%, good for one of its worst intraday performances this year. The problem wasn't earnings. It was rising expenses tied to cardholder rewards. Those expenses checked in at $2.65 billion for the second quarter, above the Wall Street estimate of $2.64 billion. There is, however, some good news."American Express revenue may rise 7-8% long term, our scenario analysis shows, driven by high-spending U.S. consumers and the ability to use its position as the dominant business-card issuer to boost B2B payments," according to Bloomberg Intelligence. Bottom Line: All About Earnings Next Week While chatter about Fed rate cuts and geopolitical events will remain in the picture, next week brings a tidal wave of earnings reports. Let's get into some of those numbers by pointing out that about 32% of the S&P 500 reports earnings the week starting July 22.At the sector level, that works out to be over 16% of technology companies, more than 30% of healthcare firms and over 22% of the financial services sector reporting next week. Those three sectors are the largest sectors to weight in the S&P 500.We'd be remiss if we did not point out that more than 60% of the communication services sector, half the industrial sector and more than 47% of the consumer discretionary group are delivering results for the week commencing July 22. In other words, we should be treated to plenty of action next week.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Tech Stocks That Are Still Worth Your Time (And Money) * 7 Marijuana Stocks With Critical Levels to Watch * 7 of the Best Smart-Beta ETFs to Target Right Now The post Dow Jones Today: Oil Slicks Trip up Stocks appeared first on InvestorPlace.
American Express topped Q2 earnings and revenue views and reaffirmed its full-year outlook, saying the economy is growing at a steady but modest pace. But shares fell.
(Bloomberg) -- U.S. stocks extended weekly losses amid mounting tension in the Persian Gulf and as investors speculated the Federal Reserve will limit a rate cut to a quarter-point. Treasury yields spiked and the dollar rose.The S&P 500 Index erased gains after reports that Iran’s Revolutionary Guard Corps seized a British oil tanker in the Strait of Hormuz amid soaring tensions in one of the world’s critical energy chokepoints. President Donald Trump said he’ll be “working with the U.K.”“Clearly the market values certainty and any conflict in the Middle East -- especially one which could restrict the flow of oil and goods throughout the world -- would be a negative for the global economy and stocks,” said Chris Zaccarelli, chief investment officer for Independent Advisor Alliance. “That’s why the market sold off on the news.”Traders on Friday rushed away from bets that the Fed will slash rates by a half-point this month, a day after clamoring for them. James Bullard, one of the most dovish members of the U.S. central bank, favors a cut by a quarter point in July. The Fed “must stop with the crazy quantitative tightening,” Trump said on Twitter. Trade tensions also remained in focus, with Trump saying the U.S. has had conversations with Chinese representatives.In company news, American Express Co. slid as spending on cardholder rewards soared, while Boeing Co. rallied after a $4.9 billion charge on the grounding of the 737 Max jets met some expectations.These are the main moves in markets:StocksThe S&P 500 fell 0.6% to 2,976.61 as of 4 p.m. New York time.The Dow Jones Industrial Average lost 0.3% and the Nasdaq-100 Index slid 0.9%.The Stoxx Europe 600 Index rose 0.1%.The MSCI Asia Pacific Index surged 1.2%.CurrenciesThe Bloomberg Dollar Spot Index rose 0.4%.The euro decreased 0.5% to $1.1219.The Japanese yen slid 0.4% to 107.72 per dollar.BondsThe yield on 10-year Treasuries rose two basis points to 2.05%.Germany’s 10-year yield fell one basis point to -0.32%.Britain’s 10-year yield dipped three basis points to 0.734%.CommoditiesThe Bloomberg Commodity Index rose 0.6%.West Texas Intermediate crude climbed to $55.63 a barrel.\--With assistance from Adam Haigh, Laura Curtis, Samuel Potter, Namitha Jagadeesh, Todd White and Nancy Moran.To contact the reporters on this story: Rita Nazareth in New York at email@example.com;Vildana Hajric in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Jeremy Herron at email@example.com, Rita NazarethFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Wall Street's main indexes edged lower on Friday after a report that the Federal Reserve plans to cut interest rates by only a quarter-percentage point at the end of July. The benchmark S&P 500 erased earlier marginal gains after the Wall Street Journal report https://www.wsj.com/articles/fed-officials-signal-quarter-point-rate-cut-likely-at-july-meeting-11563559491.
Shares of American Express Co. slumped Friday, after a positive earnings report and confirmation of its full-year outlook wasn’t quite good enough for the recent rally to record highs to resume.
The investing public should get an idea about the performance of the payments industry as the earnings report on Visa (NYSE:V) comes out. The world's largest payments processor will report its third-quarter earnings on Tuesday, July 23rd after the bell. However, expectations will probably run as high as Visa stock.Source: Shutterstock As of last year, Visa controlled about 61.5% of the payment network market in the United States. Consequently, the stock has moved steadily throughout the year. However, given the valuation, the market appears to have fully priced in the market share and earnings growth of V stock. Earnings and Revenue Continue to RiseFor the quarter ending on June 30th, analysts predict Visa earnings of $1.32 per share. Should this hold, that will represent a 10% increase from the same quarter last year, when profits came in at $1.20 per share. Wall Street also projects revenues of $5.7 billion, 8.8% more than the $5.24 billion the company brought in during the third quarter of 2018.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Stocks Top Investors Are Buying Now Visa stock has remained in a fortuitous position for some time. The demand for Visa's services continues to increase profits at double-digit rates as society becomes increasingly cashless. Visa Stock Is ExpensiveThose who hoped to buy on a dip have seen few opportunities. Visa stock fell along with the market, falling to a low of $121.60 per share on December 24th. Since then, it has moved steadily higher, climbing almost 50% since the Christmas Eve bottom. The current price of just over $180 per share comes very close to the all-time high on V stock.Unfortunately for new investors, the current price of Visa stock reflects this growth potential. The forward price-to-earnings ratio now exceeds 29. Wall Street believes that earnings will grow by 16.5% this year and 15.6% in 2020. Consequently, one can understand why V stock is not cheap.Visa stock appears expensive in more ways than one. Many at InvestorPlace seem to agree. Dana Blankenhorn says, "it's time to take profits." Luke Lango calls it a "long-term winner," but says it is "not worthy of paying $180 per share." Even V stock bull Tom Taulli admitted valuations and pressure to reduce fees could undermine the case for Visa.These double-digit growth rates have existed for some time. This has helped the company fund ten straight years of dividend increases. However, the payout now stands at $1 per year. This takes the yield to only around to only 0.55%. That does not compare well to the average dividend return for the S&P 500, which currently stands at just under 1.9%.In fairness, investors seem to get what they pay for in this industry. Mastercard (NYSE:MA) trades at a forward P/E ratio of 31, a bit above Visa's multiple. However, analysts believe MA will post higher profit growth numbers than Visa.Some investors might prefer paying about 14 times forward earnings for American Express (NYSE:AXP). However, AXP stock barely exceeds 10% on profit growth. One can say the same about Discover Financial (NYSE:DFS). DFS stock trades at 8.7x forward earnings. However, Wall Street believes profit growth will fall below 10% after this year. Should I Buy Visa Stock Before Earnings?Despite the success of the company, investors should probably avoid Visa stock going into earnings. Without question, Visa runs the largest payment network. Moreover, thanks to the growing popularity of e-commerce and cashless payment options, its massive size has not precluded double-digit profit growth.However, at more than 29 times forward earnings, the current Visa stock price fully reflects both its value and growth. It will also account for the fact that the company will more than likely beat earnings. * 10 Tech Stocks That Are Still Worth Your Time (And Money) For those determined to invest in this industry, I would choose Visa stock, but not right now. I would urge investors to wait for a correction or a bear market for the S&P 500. As long as the payments industry stays in a growth mode, only a significant decline in the overall market will offer the opportunity to buy V stock at a reasonable price.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Tech Stocks That Are Still Worth Your Time (And Money) * 7 Marijuana Stocks With Critical Levels to Watch * 7 of the Best Smart-Beta ETFs to Target Right Now The post The Bill for Visa Stock Is Too High Ahead of Earnings appeared first on InvestorPlace.
Wall Street's main indexes edged higher on Friday after solid results from technology giant Microsoft added to an upbeat mood following hints from a top Federal Reserve official that a U.S. interest rate cut could be imminent. Microsoft Corp, the most valuable U.S. company, rose 1.5% as strength in its cloud business helped it beat estimates at the end of a week of mixed earnings. "Microsoft is a sign that not all companies are suffering from the downturn we're seeing in manufacturing or the pressure from interest rates that's affecting financials," said Jeff Kleintop, chief global investment strategist, at Charles Schwab in Boston.
The most positive number from the report in terms of U.S. economic activity was that American Express saw spending by its U.S. cardholders rise 7% year-over-year in the second quarter.
American Express earnings for the second quarter of 2019 has AXP stock falling on Friday.Source: Shutterstock American Express (NYSE:AXP) starts off its earnings report for the second quarter of the year with earnings per share of $2.07. This is a 13% increase from the company's earnings per share of $1.84 from the same time last year. It also comes in above Wall Street's earnings per share estimate of $2.04 for the quarter, but AXP stock was still down today.Net income reported in the American Express earnings release for the second quarter of 2019 comes in at $1.76 billion. This is up 9% from the company's net income of $1.62 billion reported in the second quarter of 2018.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBreaking down the net income for the quarter shows Global Consumer Services Group reporting $738 million for the quarter. That's down 4% from the second quarter of the previous year. Global Commercial Services net income was $644 million, which is up 14% from the same time in 2018.The American Express earnings report for the second quarter of the year also includes revenue of $10.84 billion. That's 8% better than the company's revenue of $10.00 billion reported in the same period of the year prior. It also beats out analysts' revenue estimate of $10.82 billion for the quarter, but couldn't stop AXP stock from falling today. * 10 Tech Stocks That Are Still Worth Your Time (And Money) All of this is goods news, so what's keeping AXP stock down today. It may have to do with the company's expenses for the most recent quarter. This was up 9% to $7.8 billion during the period. The increase has to do with expanding rewards programs and customers making more use of their benefits.AXP stock was down 2% as of Friday morning. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Tech Stocks That Are Still Worth Your Time (And Money) * 7 Marijuana Stocks With Critical Levels to Watch * 7 of the Best Smart-Beta ETFs to Target Right Now As of this writing, William White did not hold a position in any of the aforementioned securities.The post American Express Earnings: AXP Stock Dips Despite Q2 Beat appeared first on InvestorPlace.
American Express (AXP) reported its second-quarter earnings results on Friday before the market opened. Its EPS beat analysts’ consensus estimate.
Wall Street's main indexes inched higher on Friday after solid results from technology giant Microsoft added to an upbeat mood following hints from a top Federal Reserve official that a U.S. interest rate cut could be imminent. Microsoft Corp, the most valuable U.S. company, rose 1.7% as strength in its cloud business helped it beat estimates at the end of a week of mixed earnings. "Microsoft is a sign that not all companies are suffering from the downturn we're seeing in manufacturing or the pressure from interest rates that's affecting financials," said Jeff Kleintop, chief global investment strategist, at Charles Schwab in Boston.
American Express stock continues to pull back after hitting new highs earlier this month. Here's how to trade the earnings mover now.
Five large cap companies reported Q2 results before the market's open: Amazon, Citizens Financial, Synchrony, Schlumberger and Kansas City Southern.
(Bloomberg) -- American Express Co. is learning how expensive it is to keep an airline happy.AmEx has been focused on rolling out new cards with many of its larger co-brand partners, and renewed its deal with its largest one, Delta Air Lines Inc., in April. That helped push spending on cardholder rewards to a record $2.65 billion in the second quarter, topping the $2.64 billion average of analysts’ estimates.Key InsightsThe firm’s discount revenue -- the fees it collects from merchants each time a consumer swipes a card at checkout -- climbed 6% to $6.58 billion, falling short of analyst projections.The firm left its profit forecast for the year unchanged at $7.85 to $8.35 a share, and reaffirmed its projection that revenue will grow 8% to 10%. The company expects profit to be more in line with the middle of that guidance range, it said on a conference call.Customer spending on the firm’s cards swelled 5% to $311.7 billion in the second quarter, below the $317.2 billion average estimate. “This spending is occurring against the backdrop of an economy that is growing at a steady, but modest pace relative to 2018,” Chief Executive Officer Stephen Squeri said in the statement.Market ReactionShares slipped 0.8% to $127.36 at 9:32 a.m. in New York. They gained 33% this year through Thursday, outpacing the 18% increase in the S&P 500 Financials Index.What Bloomberg Intelligence Says“American Express revenue may rise 7-8% long term, our scenario analysis shows, driven by high-spending U.S. consumers and the ability to use its position as the dominant business-card issuer to boost B2B payments." David Ritter, financials analystClick here to read the research.Get MoreRead the full statement here.(Adds comment on guidance in third bullet point, updates share performance.)To contact the reporters on this story: Elizabeth Rembert in New York at firstname.lastname@example.org;Jenny Surane in New York at email@example.comTo contact the editors responsible for this story: Michael J. Moore at firstname.lastname@example.org, Steve Dickson, Daniel TaubFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Wall Street was set to open higher on Friday as solid results from Microsoft fed into a bullish mood following signs from New York Fed President John Williams that the U.S. central bank was set to cut interest rates this month. Microsoft Corp, America's most valuable company, gained 2.7% premarket, after strength in its cloud business helped it beat analysts' estimates at the end of a week of mixed corporate results. Shares of the world's largest oilfield services provider Schlumberger NV rose 1% as it beat quarterly revenue estimates and named insider Olivier Le Peuch as its new chief executive officer.